Throughout this article, it should be recognized that this discussion is focused on how best to dismiss an employee for poor performance – serious disciplinary issues demand a different and more rapid treatment, although objectivity is still required.

Once an employee has been identified as performing poorly, a three-stage process should be initiated to address this issue, either by improving performance or through his or her eventual dismissal.

The Probation Period

Once an employee has been identified as giving unacceptably poor performance, they need to be told of the issue and participate in a frank discussion about it. The employer should, if possible, propose a mandatory probation period, during which time the employee's work will be closely monitored and their performance will be expected to improve.

The length and conditions of the probationary period should be documented and made clear to the employee, as should the prospect of being dismissed if no improvement is forthcoming.

Firing the Employee

At the end of the probation period, the employee's performance should be reviewed against the standards agreed at the beginning of the period. If the improvements have not been sufficient, the decision to terminate the employee should now be taken. Ensure that the number of people who know about this is kept to a minimum – ideally, only HR, the employee's direct supervisor and the responsible manager should know beforehand.

Ensure that all the formalities relating to the employee's termination have been addressed beforehand, especially any contractual obligations relating to severance pay. Plan your discussion with the employee to ensure they will gain a clear understanding of the reasons for their dismissal.

Invite the employee into your office, if possible, and politely but firmly describe the original problems, the failure of the probation period, and the consequent need to terminate the employee's contract. Show understanding, but do not be swayed into sympathizing with the employee or show any uncertainty as to the decision to fire them. Make it clear that the decision has already been made, and is now committed.

Address any reasonable questions the employee might have, and give them their final pay check or severance documentation, then request that they leave. Assuming their behavior is reasonable, allow them to collect any possessions and say goodbye to their colleagues, but it is generally not good practice to allow them to do any further work.

Once They Are Gone

Once the fired employee has left, it is time to ensure that both you and the remaining employees do not suffer unnecessarily from the disruption and stress of a firing.

Communication is the key here. It is likely that many of the fired employee's co-workers will already be familiar with the reasons for his or her firing, but it is important to recap these reasons with the remaining employees and reassure them that a suitable replacement will be found and that they will not suffer as a result. Remember, some of them may have been personal friends of the terminated employee, or may have worked with him or her for many years.

Offer the opportunity to ask questions, in public or private, and then return to normal business.

Final Thoughts

Firing an employee is stressful for everyone involved, but it is necessary occasionally, and following the guidelines in this article will help reduce the stress and disruption it can cause.

Don't forget that if you do have to fire someone, they will remember your behavior, and this will impact your future reputation – it's a small world out there.